Brazil's Path to Hardware Manufacturing at Home

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Supply Network Guru
Such policies should be encouraged
prabhakar_deosthali   8/31/2014 2:29:30 AM

Whether this particular policy decision of Brazil govt is correct or not , I do not know. But the attempts by the developing contries to become self reliant in technology development, manufacturing , R & D should be encouraged by the developed nations by providing active partipation , knowhow transfer and helping to set up manufacturing bases.

This will overall benefit the world economy

Rich Krajewski
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Supply Network Guru
seems like
Rich Krajewski   8/31/2014 6:53:44 PM

Seems like the whole point of the tariff is to encourage local design and manufacturing. Economists argue that such a tariff policy prevents taking advantage of national competitive advantages via international trade, but that is only part of the story. Economists ignore the political and social effects of that argument. They also ignore how new competitive advantages can be incubated in a way that would be impossible if the "hatchery" of indigenous talent was decimated by constantly being exposed to more developed, predatory competitors.

If the national competitive advantage and zero-barrier trade theory was correct, then the US should be in a strong rather than a precarious economic state by now, considering how many barriers have been lowered (enough to allow most of the manufacturing jobs to leave the US).

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